Pixie Chart of the week | Pinpointing potential generation-dominated areas

In a recent consultation on options for forward-looking charges, Ofgem proposed to introduce the concept of Generation and Demand Dominated Areas (GDAs and DDAs) in the Common Distribution Charging Methodology (CDCM).

The CDCM governs the distribution charges that low- and higher-voltage (up to 22kV) connected users see and currently applies the same charge or credit to all users of a certain type in that network. It assumes that distribution-connected generators offset network reinforcement, which has traditionally been demand-led.

The chart this week focuses on Pixie Energy’s home city, outlining current load and generation for primary substations served by the Norwich grid supply point.

To keep reading, please log in to your account

Alternatively, please sign up to receive free market insight online and direct to your inbox

Related thinking

Low carbon generation

Australian Chart of the week | VRE pays more as PFR helps reduce coal FCAS costs

In our previous ‘Chart of the week’ in November 2020, we reviewed the increasing percentage of causer pays cost that solar generators bear due to their generation profiles and how this results in them paying significantly more of the causer pays cost as a ratio of the generation they provide. More than...

Regulation and policy

Taking charge: the MHHS implementation levy

On 10 June the BSC Panel approved the Market-wide Half Hourly Settlement (MHHS) Implementation Charge for 2021-22. The new charge, introduced under modification P413 Market-wide Half Hourly Settlement Programme Manager, will cover Elexon’s programme management costs for MHHS implementation. It will be levied on suppliers on a monthly basis, based...

Regulation and policy

Australian Chart of the week | EnergyConnect: transformational highway or white elephant?

Last week, the AER delivered their final regulatory approval for Project EnergyConnect (PEC) with total costs of $2.28b. This signifies the end of a process that began back in 2016 when the initial project specification report was released. There was some uncertainty around the viability of the project. However, a $295 million...

Home supply and services

Chart of the week | Green hair, green branches, green skin, green tariffs?

In this 'Chart of the week', we look at how prevalent green supply has become, unpick some of the drivers behind this, and look at the challenges now facing consumers, suppliers and policy makers confronted by a sea of green.  Over recent years, we estimate the percentage of households with...

Low carbon generation

Australian Chart of the week | “I feel the earth move under my feet”: from high to lows

We have seen a dramatic shift in FCAS price fortunes over the past year or so, going from all-time highs of ~$229.3mn in Q1 of 2020 (due to the separation event) to only ~$40.1mn in Q1 2021. Since 2019 we have also seen regulation raise prices decline from robust prices...

Home supply and services

Chart of the week | SoLR process sees largest supplier exit

This January saw the largest supplier exit through Ofgem’s Supplier of Last Resort (SoLR) process. Green Network Energy ceased to trade on 27 January, with Ofgem appointing EDF Energy as SoLR for its 360,000 domestic customers shortly after. On the same day, the regulator announced the exit of Simplicity Energy,...

Home supply and services

Chart of the week | SoLR process sees largest supplier exit

This January saw the largest supplier exit through Ofgem’s Supplier of Last Resort (SoLR) process. Green Network Energy ceased to trade on 27 January, with Ofgem appointing EDF Energy as SoLR for its 360,000 domestic customers shortly after. On the same day, the regulator announced the exit of Simplicity Energy,...

Energy storage and flexibility

Chart of the week | Increasing electricity balancing costs and an increasing System Operator role

Last week saw the publication of Ofgem's review of GB energy system operation. This makes recommendations that the roles and functions of the electricity and gas system operators need to change in light of net zero. In this week's 'Chart of the week', I wanted to focus on one aspect...